In the Matter of the Petition by ) January 30, 1997        
                                 )
JOSEPH W. CHILDRESS              )
P.O. Box 86                      )
6151 St. Mary's Church Road      )
                                 )
        at                       )
                                 )
Lucama, NC 27851-0086            )  P.S. Docket No. DCA 96-416

APPEARANCE FOR PETITIONER:	Joseph W. Childress
				P.O. Box 86
				6151 St. Mary’s Church Road
				Lucama, NC 27851-0086

APPEARANCE FOR RESPONDENT:	Michael E. Ellis
				Labor Relations Specialist
				United States Postal Service 
				3701 West Wendover Avenue
				Greensboro, NC 27495-0001

FINAL DECISION UNDER THE DEBT COLLECTION ACT OF 1982

Petitioner, Joseph Childress, a window clerk at the Wilson, North Carolina Post Office, filed this Petition on December 5, 1996, after receiving a Notice of Involuntary Administrative Salary Offsets, dated November 19, 1996, from the Wilson Postmaster. The Notice stated the Postal Service’s intention to withhold $1,532.23 from Petitioner’s salary to cover a shortage in his account, revealed by an October 17, 1995 audit. The Petition asked for a hearing on written submissions. On December 17, 1996, Mr. Childress sent a package of fifteen photographs of the Wilson Post Office, in support of his argument.

Respondent, the United States Postal Service, filed its Answer on December 20, 1996. By Order dated December 24, 1996, both parties were given until January 13, 1997 to file any additional evidence they wished to have considered, and until January 23, 1997 to submit any final arguments or comments. Neither party has submitted any additional evidence or argument.

FINDINGS OF FACT

1. On October 2, 1995, Mr. Childress was issued a quantity of stamps. He signed a Form 17, indicating receipt of $6,080 of stock. Included was a package of 5000 thirty-two cent Christmas stamps, worth $1,600.

2. The stock was issued to Mr. Childress inside a walk-in vault, where all stamp stock is secured at the Wilson Post Office. In a written statement, Mr. Childress says that he recalls seeing the package of Christmas stamps "lying on the safe in the vault as I was putting up my stock." He goes on to say, "However thinking back I do not recall ever putting them in the safe compartment."

3. On October 4, 1995, Mr. Childress missed the package of Christmas stamps and began searching for it. He was assisted by other post office personnel, but was unable to find the stamps. Petitioner’s account was audited on October 17, 1995, revealing a shortage of $1,532.23, as reflected on a PS Form 3294, Cash and Stamp Stock Count and Summary, signed by Mr. Childress and a supervisor.

Respondent argues that the audit of October 17, 1995, and Mr. Childress’ statement as to the events of October 2, 1995, establish a loss from Mr. Childress’ account, and that his failure to secure all the stock after signing for it demonstrates lack of reasonable care on his part.

Petitioner argues that lack of adequate security in the Wilson Post Office contributed to the loss. He states that unauthorized people had access to the area behind the window clerks’ counter, and that a number of people were in and out of the vault on October 2 when he was putting his stock into safe compartments assigned to him. He names a person whom he believes took the missing stamps. He offers no evidence of this, however, other than that this employee was in the vault at the time. In support of his argument on lack of security, Petitioner points out that chain barriers, with the words "Authorized Personnel Only," have been placed across doorways since this incident.

DECISION

The standard for determining liability of Postal Service employees in matters such as this is contained in Handbook F-1, Post Office Accounting Procedures, Section 130 - Liability. Subsection 131 applies to postmasters, and subsection 132 to other employees:

There is no question that a loss occurred from the stock for which Petitioner was accountable. He does not dispute that. The only issue is whether the circumstances described by Petitioner should relieve him of liability for the loss, based on a finding that he exercised reasonable care under those circumstances. I am unable to make such a finding. Even if the configuration of the post office was not ideal, and even if traffic in the vault area led to distractions, and even if changes were made by management to improve security after this incident, the controlling facts are that Petitioner knew on October 2, 1995 that this stock was assigned to him and he left it unsecured and unattended. This constitutes lack of reasonable care.

The Petition is denied. Respondent may collect $1,532.23 by offset from Petitioner’s salary.

					Bruce R. Houston
					Chief Administrative Law Judge